DALLAS, Nov. 8, 2021 /PRNewswire/ -- MoneyGram
International, Inc. (NASDAQ: MGI) (the "Company"), the global
leader in the evolution of digital P2P payments, today announced
two measures to continue to improve its capital structure and
further reduce its outstanding long-term debt balance. The
Company announced it will make a $15
million voluntary term loan principal repayment. In
addition, the board of directors of the Company has authorized a
stock repurchase program for the repurchase of up to $50 million of the Company's outstanding common
stock.
"This announcement demonstrates our confidence in MoneyGram's
improving financial strength and long-term trajectory," said
Larry Angelilli, MoneyGram Chief
Financial Officer. "These actions permit us to improve our
capital structure by reducing our outstanding debt, which follows
our successful refinancing earlier in the year, and further reduce
our interest expense, which is now at the lowest level it has
been in years."
Under the stock repurchase program, repurchases can be made from
time to time using a variety of methods, including open market
purchases, all in compliance with the rules of the United States
Securities and Exchange Commission and other applicable legal
requirements. The timing and actual number of shares repurchased
will be determined by management based on market conditions and
other factors.
The Company intends to repurchase shares to the extent
management believes it would not adversely impact the Company's
current credit ratings. In addition, the Company only intends
to execute buybacks opportunistically in response to what it
believes is a significant recent stock price depreciation. The
repurchase program does not obligate the Company to acquire any
particular number of shares, and the repurchase program may be
suspended or discontinued at any time at the Company's
discretion.
Forward Looking Statements
This communication contains
forward-looking statements which are protected as forward-looking
statements under the Private Securities Litigation Reform Act of
1995 that are not limited to historical facts, but reflect
MoneyGram's current beliefs, expectations or intentions regarding
future events and speak only as of the date they are made. Words
such as "may," "might," "will," "could," "should," "would,"
"expect," "plan," "project," "intend," "anticipate," "believe,"
"estimate," "predict," "potential," "pursuant," "target,"
"forecast," "outlook," "continue," "currently," and similar
expressions are intended to identify such forward-looking
statements. The statements in this communication that are not
historical statements are forward-looking statements within the
meaning of the federal securities laws. Specific forward-looking
statements include, among others, statements regarding the
Company's projected results of operations and specific factors
expected to impact the Company's results of operations.
Forward-looking statements are subject to numerous risks and
uncertainties that are difficult to predict and many of which are
beyond MoneyGram's control, which could cause actual results to
differ materially from the results expressed or implied by the
statements. These risks include, but are not limited to, the
risks and uncertainties described in the "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and
Results of Operations" sections of MoneyGram's public period
reports filed with the U.S. Securities and Exchange Commission (the
SEC), including MoneyGram's annual report on Form 10-K for the year
ended December 31, 2020, and
subsequent quarterly reports on Form 10-Q.
About MoneyGram International, Inc.
MoneyGram is
leading the evolution of digital P2P payments. With a
purpose-driven strategy to mobilize the movement of money, a strong
culture of fintech innovation, and leading customer-centric
capabilities, MoneyGram has grown to serve nearly 150 million
people around the world over the last five years.
The Company leverages its modern, mobile, and API-driven
platform and collaborates with the world's leading brands to serve
consumers through MoneyGram Online (MGO), its direct-to-consumer
digital business, its global retail network and its emerging
embedded finance business for enterprise customers, MoneyGram as a
Service.
For more information, please visit ir.moneygram.com and follow
@MoneyGram.
Media Contact
Stephen
Reiff
media@moneygram.com
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SOURCE MoneyGram